The crypto market has once again shown its volatility, with over 287 million dollars liquidated in the last 24 hours. This highlights the risks faced by traders using leverage in such volatile environments.

Major Exchange Liquidations

The last 24 hours have seen over 287 million dollars liquidated on major crypto exchanges. Long positions were particularly affected, with significant liquidations on platforms such as Binance ($132.55 million) and OKX ($120.37 million). Among the most impacted cryptos, Bitcoin saw around $80 million disappear, representing more than 1,180 BTC. Ethereum was also not spared, with $66.52 million liquidated, nearly 25,390 ETH.

Role of Leverage in Liquidations

This wave of liquidations underscores the significance of leverage in the crypto market. According to Phoenix Group data, a large majority of liquidations came from long positions: 64.81% of liquidated positions on Binance were long, compared to 60.37% on OKX. This interest is driven by the opportunities leverage offers during a bullish market period but also increases risk during sharp market downturns.

Impact of Volatility and Forecasts

Investors believe that such a situation could recur if market volatility persists. Moreover, the increase in open positions (OI) is a key indicator that could signal new volatile movements. This situation also reveals the fragility of the crypto ecosystem in the face of sudden movements and global macroeconomic uncertainty.

This new wave of mass liquidations is a stark reminder of the extreme volatility of the crypto market and the dangers of leveraged trading. Traders and investors should closely monitor movements and open position data to avoid catastrophic losses.